Questions to Ask When Evaluating Business Insurance

Business insurance is often purchased on price because price is the only element that is easy to compare. Coverage terms deserve the same attention.

Ask what the policy responds to, and what it explicitly excludes. Exclusions and endorsements define a policy far more precisely than the coverage name on the front page.

Ask how limits are structured — per occurrence, aggregate, and whether defense costs erode the limit. Two policies with identical headline limits can behave very differently in a claim.

Ask what happens operationally when something goes wrong: who reports the claim, how quickly, and who at the agency will be involved. Actual coverage is governed by the policy, its conditions and the carrier's determination.